On May 16, 2023, Shopify released its first-ever Shopify Entrepreneurship Index in beta, offering valuable data and insights on entrepreneurial activities in 40 countries and all U.S. states. By utilizing information from millions of businesses within the Shopify ecosystem, the index assesses the entrepreneurs’ impact on national economies and identifies the regions with the highest growth and contributions.
Introducing the Shopify Entrepreneurship Index
This comprehensive data aims to support aspiring entrepreneurs and policymakers in making more informed decisions, developing improved strategies, and capitalizing on the rapidly evolving world of commerce. The beta launch has already caught the attention of various stakeholders, who are eager to unlock the possibilities of the global entrepreneurial landscape and promote economic growth in their regions.
2022: A Year of Growth for Shopify Entrepreneurs
In 2022, Shopify entrepreneurs achieved several significant milestones, including:
– 5.2 million jobs supported, reflecting an 8.3% increase from 2021
– $27.7 billion in exports, a 7% growth
– A contribution of $229.3 billion to GDP, showing an 8.8% rise
– $490.5 billion in economic activity, an 8.6% expansion
These impressive numbers highlight the considerable impact that Shopify entrepreneurs have had on the global economy. Their efforts continue to create jobs, stimulate international trade, and foster economic growth worldwide.
Top Countries and States in the Shopify Entrepreneurship Index
The top three countries in the Shopify Entrepreneurship Index were the U.S., Lithuania, and Romania.
Delaware earned the distinction of the highest-performing state in the United States, boasting an 11% growth in total jobs supported since 2021.
Lithuania demonstrated remarkable progress by climbing up the ranks, thanks to a thriving e-commerce community and multiple successful start-ups.
Romania followed closely behind, showing rapid expansion in its digital systems and the potential for continued growth in the years to come.
Lithuania’s second-place ranking can be attributed to the nation’s focus on financial literacy, entrepreneurship, and technology. Romania’s third position resulted from its significant growth in e-commerce following a digital transformation.
The Lithuanian government actively nurtures a robust digital ecosystem, leading to a highly skilled workforce and rapid technological advancements. Meanwhile, Romania’s digital transformation has allowed for greater access to the online world, increased commercial activity, and improved efficiency across various sectors.
Empowering Entrepreneurs and Decision-Makers
Harley Finkelstein, Shopify President, said, “Entrepreneurs are the lifeblood of economies. They generate employment, serve as community anchors, and create an impact that extends well beyond their own businesses.” He added, “Our objective is to equip decision-makers with the insights necessary to eliminate obstacles and make entrepreneurship more accessible to all.”
To accomplish this, decision-makers must emphasize collaboration with entrepreneurs and provide them with resources, mentorship, and a supportive environment. Additionally, enacting policies and regulations promoting growth and innovation will ensure an inclusive ecosystem where entrepreneurs can prosper, contribute to economic growth, and incite positive change in their communities.
Dr. Gary Dushnitsky, an Associate Professor of Strategy and Entrepreneurship at the London Business School, said the report would be valuable for various stakeholders, including academics, policymakers, and business leaders seeking information on digitally-enabled entrepreneurs. The report aims to offer comprehensive insights into the ever-evolving landscape of digital entrepreneurship and the challenges and opportunities that come with it. By leveraging expert knowledge and relevant data, the report can guide these stakeholders in making informed decisions to encourage growth and innovation within the sector.
U.S. Growth in the Entrepreneurship Index
The Shopify Entrepreneurship Index observed substantial growth in several categories in the U.S., including an 11% increase in total jobs supported, GDP impact, and business activity. This positive trend showcases the resilience and adaptability of small business owners and entrepreneurs, who have pivoted their strategies to meet the constantly changing demands of the pandemic. Moreover, the data suggests a bright future for the entrepreneurial landscape as new and creative businesses continue to arise and contribute to the overall economy.
Regional Success in the United States
In the U.S., the Mountain West region emerged as the most successful, with five states in the top ten. The south experienced a surge in job growth, while exports soared in South Dakota, Montana, and Nevada. This economic upswing led to numerous businesses and industries prospering in these areas and attracting significant investments, creating a wealth of opportunities for job seekers.
Additionally, the increased exports contributed to a more robust state economy, further exemplifying the potential for sustained growth and prosperity in the Mountain West region and the south.
California: A Leader in Job Creation and GDP Contribution
California topped the charts regarding direct jobs created, total jobs supported, and GDP contribution. The state’s burgeoning tech, entertainment, and agricultural industries significantly influenced this achievement. As a result, California has established itself as a powerhouse in generating employment opportunities and driving economic growth across the nation.
Frequently Asked Questions
What is the Shopify Entrepreneurship Index?
The Shopify Entrepreneurship Index is a comprehensive report providing data and insights on entrepreneurial activities in 40 countries and all U.S. states. It assesses entrepreneurs’ impact on national economies and identifies regions with the highest growth and contributions.
When was the Entrepreneurship Index released?
The Entrepreneurship Index was released in beta on May 16, 2023.
What were some of the milestones achieved by Shopify entrepreneurs in 2022?
In 2022, Shopify entrepreneurs achieved milestones such as supporting 5.2 million jobs, $27.7 billion in exports, contributing $229.3 billion to GDP, and generating $490.5 billion in economic activity.
Which countries ranked highest in the Shopify Entrepreneurship Index?
The top three countries in the Shopify Entrepreneurship Index were the U.S., Lithuania, and Romania.
Which U.S. state performed the best in the Entrepreneurship Index?
Delaware, a U.S. state, performed the best in the Entrepreneurship Index, with an 11% growth in total jobs supported since 2021.
What is the main objective of the Entrepreneurship Index?
The main objective of the Entrepreneurship Index is to equip decision-makers with the insights necessary to eliminate obstacles and make entrepreneurship more accessible to all.
According to the Entrepreneurship Index, what kind of growth did the U.S. experience?
According to the Entrepreneurship Index, the U.S. experienced an 11% increase in total jobs supported, GDP impact, and business activity.
Which U.S. region was the most successful in the Entrepreneurship Index?
The Mountain West region in the U.S. emerged as the most successful, with five states in the top ten.
How did California perform in the Entrepreneurship Index?
California topped the charts regarding direct jobs created, total jobs supported, and GDP contribution, establishing itself as a powerhouse in generating employment opportunities and driving economic growth across the nation.
First Reported on: shopify.com
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